ITV in Talks with Sky Over Asset Sale as 2025 Earnings Beat Expectations

Key Facts

1ITV is in discussions with Sky regarding a possible sale of its media and entertainment business.

2The company posted a smaller decline in profits for 2025 than analysts had expected.

3Group external revenue rose 1% to £3.5 billion, supported by 10% growth in ITV Studios' external revenues.

4Digital advertising revenue grew by 12%, helping offset a 5% drop in total advertising revenue.

ITV PLC has confirmed it is in discussions with Sky regarding the potential sale of its media and entertainment division, signaling a major strategic shift. The announcement coincided with the release of the company's 2025 financial results, which showed a smaller-than-anticipated decline in profits, beating analyst expectations. Total group external revenue edged up by 1% to reach £3.5 billion, largely driven by a robust 10% growth in the ITV Studios segment. While total advertising revenue fell by 5%, a 12% surge in digital advertising helped mitigate the impact of the downturn in linear television. Management remains optimistic about future growth, citing the upcoming 2026 World Cup as a significant catalyst for advertising demand. The combination of resilient earnings and potential M&A activity has positioned the company favorably within the media sector.